According to Redfin, housing demand was up 25% year-over-year for the first week in June. In some cases there was a slingshot effect, as in the case of Atlanta, where pending home sales surged by 20% year-over-year from 2019.
Even though the Atlanta and Southeast regional markets were not as hard hit as the Northeast, demands still remain strong and buyers are looking for homes that are outside high density areas such as New York City.
A number of agents have mentioned to Counsellors Title that there is increased demand from buyers for properties in less concentrated areas.
In the Southeast region builder concessions in May brought an average new home price down 5% year-over-year. Still, scarcity of inventory continues to be problematic for buyers across the country.
Not since the first week in March has the industry seen such a frenetic pace to buy a home.
Still, even with the pandemic, pending sales for January through May 2020 are up 6% over the same period in 2019.
In addition, the cheapest mortgage rates on record provide buyers with a built-in incentive to make a deal. According to Fannie Mae, the average annual rate in 2020 may come in at 3.2%, which is down from 3.9% in 2019.
Since spring did not officially begin from an industry point of view until May, the sales that many agents are expecting for the second half of the second quarter will clearly be much higher than those comparable sales in 2019.
If you have any questions about this information or title insurance, please contact Ralph Aponte: 732.914.1400.
Counsellors Title Agency, www.counsellorstitle.net, founded in 1996, is one of New Jersey’s most respected title agencies, serving all 21 New Jersey counties with title insurance, clearing title, escrow, tidelands searches, and closing and settlement services for commercial or industrial properties, waterfront properties and marinas, condominiums, townhouses or residential single family homes. Counsellors Title also features its own Attorney Settlement Assistance Program™ [ASAP], which is an individual resource customized to fit the needs specifically of real estate attorneys, including, Documentation, Preparation, Disbursement of Funds, Attendance at Closing, HUD Preparation or Post-Closing Matters.
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